New Rules for Residency in Spain: What Changed in 2025

New Rules for Residency in Spain: What Changed in 2025

Marc Cantavella

Marc Cantavella

12 min read

Spain's residency landscape underwent its most significant transformation in over a decade during 2024 and 2025. From the controversial end of the Golden Visa program to sweeping reforms in immigration regulations, these changes affect everyone from property investors to digital nomads, retirees to entrepreneurs.

Whether you're planning to move to Spain or already navigating the immigration system, understanding these new rules is essential. This comprehensive guide breaks down every major change and what it means for your residency plans.

The end of Spain's Golden Visa program

On April 3, 2025, Spain officially closed one of Europe's most popular investment-based residency programs. Organic Law 1/2025, published on January 3, 2025, terminated the granting of new Golden Visas to non-EU foreigners who purchase property worth EUR 500K or more.

The decision came after growing political pressure. The Spanish government cited housing speculation and soaring property prices in cities like Barcelona and Madrid as primary reasons. Local residents increasingly found themselves priced out of their own neighborhoods, with Golden Visa investors contributing to the real estate pressure.

What happens to existing Golden Visa holders

If you already hold a Golden Visa, your permit remains valid. However, renewals are no longer guaranteed under the old framework and will face stricter scrutiny. Anyone who submitted applications before April 3, 2025, can still obtain Spanish residency under the previous rules.

For new investors and property buyers, the landscape has fundamentally changed. Purchasing Spanish real estate no longer provides a pathway to residency, though foreign nationals retain the same property ownership rights as Spanish citizens.

Major immigration regulation reforms

Beyond the Golden Visa closure, Spain introduced comprehensive immigration reforms through Royal Decree 1155/2024, which came into effect on May 20, 2025. These changes represent the most significant overhaul of Spain's immigration system in years.

Work permit duration changes

Initial non-EU work permits are now standardized at one year validity, replacing the previous inconsistent terms that sometimes lasted only six months. Upon renewal, permits extend for four years instead of the previous two-year extensions. This change provides greater stability for foreign workers and their employers.

Expanded family reunification rights

The new regulations significantly broaden family reunification options. Children of permit holders can now be included in residency applications up to age 26, as long as they remain financially dependent. Previously, only minor children qualified.

Perhaps most notably, unmarried partners can now join family members in Spain more easily, without requiring legal marriage or formal registration. The relationship must be proven through documentation, but this opens residency to many couples previously excluded from family reunification.

Adult children with health conditions can continue to be included in their parents' applications, while close relatives like parents now have clearer pathways to join family members holding work permits in Spain.

Student work rights expansion

Students on Spanish visas may now work up to 30 hours weekly, a significant increase that helps offset living costs. Permit holders may also engage in limited self-employment, providing greater financial flexibility during studies.

New job-seeking visa

Spain is creating a job-seeking visa that can be requested from the applicant's country of origin. This allows foreigners to come to Spain and look for work for six months before transitioning to a regular work permit. This change addresses a previous catch-22 where employers wanted workers in Spain, but workers needed job offers to get visas.

Digital Nomad Visa: Spain's remote work solution

Introduced under the Startup Law (Ley 28/2022) of December 21, 2022, which amended the Entrepreneurs Law (Ley 14/2013), the Digital Nomad Visa has become Spain's answer to the global remote work revolution.

Income requirements

To qualify, you must demonstrate income of at least 200% of Spain's minimum wage (SMI), which equals approximately EUR 3K per month as of 2025. This must be net income credited to a bank account after taxes, fees, and commissions.

Adding family members increases the requirement proportionally. The first additional family member requires an extra 75% of SMI (approximately EUR 1K per month). Each subsequent member requires an additional 25%.

Eligibility criteria

Applicants must hold an undergraduate or postgraduate degree from a recognized university, college, or business school, or demonstrate at least three years of work experience in their current field of activity.

Work restrictions and flexibility

Unlike many other digital nomad programs, Spain's version allows up to 20% of a freelancer's income to come from Spanish clients. This flexibility makes the visa practical for freelancers who may occasionally work with local companies.

Digital nomads employed under labor contracts may only work for companies located outside Spain. Both employees (under employment contracts) and independent contractors (under service agreements) qualify.

Visa duration

The visa is valid for up to one year if applied for from outside Spain, or up to three years if applied for within Spain while on a tourist visa. Renewals are granted in two-year increments. Applications are processed within 20 business days.

Entrepreneur and Startup Law changes

Spain's entrepreneur visa under Law 14/2013 received key updates in 2025, making the country more attractive for innovative business founders.

Extended initial permit duration

The initial entrepreneur visa is now valid for three years, up from previous shorter terms. This extended timeline gives startups the stability needed to build their businesses without worrying about imminent renewal deadlines.

No minimum investment required

Unlike many entrepreneur visa programs worldwide, Spain requires no minimum capital investment. There's no requirement to invest a specific amount in the company or hire any employees initially.

Business innovation requirements

Applicants must present an innovative business plan demonstrating novelty, scalability, economic impact, and job creation. Most applications project creating at least three to five roles in the first year, though this isn't a strict minimum.

Financial requirements and documentation

The minimum required amount equals 100% of Spain's Public Multiple Effects Income Indicator (IPREM), plus an additional 50% of IPREM for each family member.

This threshold is significantly lower than investment-based programs.

Key documentation includes a detailed business plan, applicant CVs, financial evidence such as bank statements and three-year projections, apostilled academic or professional qualifications, proof of health insurance and accommodation, a clean criminal record certificate covering the last two years, and required health documentation.

Processing timeline

Officially, the entrepreneur visa takes 20 to 30 working days for review once submitted. In practice, the entire process from document preparation to approval typically takes three to five months.

Non-Lucrative Visa updates

The Non-Lucrative Visa, popular among retirees and those with passive income, received significant updates under the new Immigration Regulation (RD 1155/2024) effective May 20, 2025.

Financial requirements

The minimum annual required amount now equals 400% of Spain's Public Income Indicator for Multiple Effects (IPREM). For each dependent family member (spouses, children, or ascending relatives), an additional 100% of IPREM must be added annually.

In 2025, IPREM equals EUR 1K , meaning approximately EUR 29K per year for the main applicant and EUR 7K per dependent.

Financial documentation changes

You must now show year-end balances as of December 31 of the year, together with the average balance for the preceding twelve months. This prevents applicants from temporarily inflating account balances just before application.

Family reunification modifications

From May 20, 2025, it became possible to include a partner who is not legally registered, though the relationship must be proven. However, only adult children with health conditions can now be included in their parents' applications, tightening previous rules.

Extended visa approval validity

The visa approval affixed in your passport is now valid for 365 days, rather than the previous three months. This extended validity provides much greater flexibility for planning your move to Spain.

Beckham Law: Special tax regime for expats

Spain's Beckham Law, officially the "Special Tax Regime Applicable to Workers, Professionals, Entrepreneurs and Investors Displaced to Spanish Territory," continues with its beneficial tax treatment, though recent years brought regulatory uncertainty.

Current tax benefits

Qualifying individuals pay a flat 24% tax rate on Spanish-sourced income, rather than Spain's standard progressive rates that reach as high as 47%.

The flat 24% tax applies to income up to EUR 600K , with income above that threshold taxed at a higher rate.

2024-2025 regulatory developments

In December 2024, the Spanish government enacted Royal Decree-Law 9/2024, introducing several amendments to existing tax laws. However, this decree was repealed on January 22, 2025, meaning that the previous regulations, including the Beckham Law, remain unchanged.

The regime was updated in 2023 with new jurisprudential developments continuing through 2025, but the core benefits remain stable.

Duration and eligibility

If you acquire tax residency in 2024, the regime applies during 2024 through 2029.

From 2030 onward, you would pay taxes as any regular resident under the general IRPF regime.

Modifications in 2023 expanded eligibility to a broader range of expatriates, including those employed by foreign companies, a move aimed at stimulating Spain's burgeoning startup ecosystem.

NIE and TIE process overview

Understanding the difference between NIE and TIE is essential for anyone navigating Spanish residency.

NIE: Your Spanish tax number

The NIE (Número de Identidad de Extranjero) is a Foreigner Identification Number assigned by the Spanish administration. It's simply a number, not a card or residence permit.

The NIE is used for all administrative procedures, including civil registration, buying property, and opening bank accounts.

The NIE tax fee is EUR 0K in 2025.

TIE: Physical residence card

The TIE (Tarjeta de Identidad de Extranjero) is a physical card with your photo, issued to non-EU residents who intend to reside in Spain for more than six months.

The TIE contains your NIE number along with your residency status.

Application process

You need an appointment to apply for the TIE, which must be booked online. At the police station, they collect required documentation and take your fingerprints.

Your card is typically ready for pickup in approximately 30 days.

What these changes mean for different profiles

Property investors

The Golden Visa closure fundamentally changes the equation. You can still purchase Spanish property without restrictions, enjoying the same rights as Spanish citizens. However, property ownership no longer provides a residency pathway.

If you want residency after buying property, you must explore other visa routes: the Non-Lucrative Visa if you have sufficient passive income, the Digital Nomad Visa if you work remotely, or entrepreneur/employee visas if you plan to work in Spain.

Without residency, you're limited to standard tourist rules: 90 days per 180-day period in the Schengen Area.

Retirees with passive income

The Non-Lucrative Visa remains the primary pathway. The updated financial requirements of approximately EUR 29K annually (plus EUR 7K per dependent) are manageable for many retirees with pensions or investment income.

The extended 365-day visa validity provides much more flexibility for planning your move. The new family reunification rules make it easier to bring unmarried partners.

Remote workers and digital nomads

The Digital Nomad Visa is purpose-built for this profile. With income requirements of approximately EUR 3K monthly and the ability to earn up to 20% from Spanish clients, it's accessible and practical.

The three-year initial validity (if applied for within Spain) provides substantial stability. The education or experience requirements are straightforward for most professional remote workers.

Entrepreneurs and startup founders

The entrepreneur visa improvements make Spain increasingly competitive. The three-year initial validity, no minimum investment requirement, and clear path to permanent residency (after five years) and citizenship (after ten years) create an attractive package.

The 2023 eligibility expansion to include foreign company employees benefits startup founders keeping their companies registered elsewhere while establishing Spanish presence.

Foreign workers

The new one-year initial work permit duration and four-year renewals provide far greater stability than previous arrangements.

The expanded family reunification rights, including children up to age 26 and unmarried partners, make Spain more family-friendly.

The new job-seeking visa solves the previous chicken-and-egg problem of needing a job to get a visa but needing a visa to get a job.

Students

The ability to work up to 30 hours weekly represents a significant improvement, helping students offset Spain's rising living costs.

The addition of limited self-employment options provides even greater financial flexibility.

Timeline and next steps

If you're planning Spanish residency, understanding the timeline is crucial.

Immediate changes (already in effect)

  • Golden Visa closed as of April 3, 2025
  • Immigration regulation reforms effective May 20, 2025
  • Extended work permit durations (one year initial, four-year renewals)
  • Expanded family reunification rights
  • Non-Lucrative Visa updates (365-day validity, new financial documentation)
  • Student work rights (30 hours weekly)

Upcoming changes

  • Job-seeking visa implementation (timeline not yet confirmed)
  • Continued refinement of Digital Nomad Visa procedures
  • Potential further adjustments to family reunification rules

Application timelines by visa type

  • Digital Nomad Visa: 20 business days processing
  • Entrepreneur Visa: 20-30 working days official, 3-5 months realistic
  • Non-Lucrative Visa: varies by consulate, typically 1-3 months
  • Work Permit: varies by type and employer situation
  • TIE card: approximately 30 days after appointment

Key takeaways

Spain's 2025 residency reforms represent a fundamental shift in immigration policy. The Golden Visa closure signals the end of pure investment-based residency, while the Digital Nomad Visa and entrepreneur improvements show Spain's focus on attracting skilled workers and innovative businesses.

The comprehensive immigration regulation reforms effective May 20, 2025, bring greater clarity, extended permit durations, and expanded family rights. These changes benefit most applicants, particularly workers and students.

For prospective residents, the key is matching your profile to the right visa pathway. Property investors must pivot to alternative routes like the Non-Lucrative Visa. Remote workers have a clear path through the Digital Nomad Visa. Entrepreneurs benefit from extended permit durations and no minimum investment. Workers and students gain from expanded rights and longer permits.

The Spanish immigration landscape will likely continue evolving, but these 2025 changes establish a new framework that prioritizes economic contribution, family unity, and long-term integration over pure financial investment.

Golden Visa abolished under Organic Law 1/2025

KPMG – Spain Golden Visa Cancelled·Last checked: 09/02/26

Immigration regulation reforms under Royal Decree 1155/2024

La Moncloa – New Immigration Regulation·Last checked: 09/02/26

Digital Nomad Visa under Startup Law (Ley 28/2022)

Spanish Consulate in Washington – Digital Nomad Visa·Last checked: 09/02/26

Beckham Law tax regime and eligibility updates

Agencia Tributaria – Special Regime for Expatriates·Last checked: 09/02/26

Non-Lucrative Visa updates and IPREM requirements

Spanish Consulate in Washington – Non-Lucrative Visa·Last checked: 09/02/26

Extraordinary regularization for foreign nationals

La Moncloa – Extraordinary Regularisation Process·Last checked: 09/02/26

Marc Cantavella

Manager at The Global Wealth

International Tax Lawyer and HNWI Relocation Expert. Co-founder and Manager at The Global Wealth.